The contribution margin ratio of Donath Corporation's only product is 67%. The company's monthly fixed expense is $454,300 and the company's monthly target profit is $40,300.

Required:

Determine the dollar sales to attain the company's target profit.(Round your answer to the nearest dollar amount.)

The contribution margin ratio of Donath Corporation's only product is 67%. The company's monthly fixed expense is $454,300 and the company's monthly target profit is $40,300.

Required:

Determine the dollar sales to attain the company's target profit.(Round your answer to the nearest dollar amount.)

1 Q3

Spartan Systems reported total sales of $360,000, at a price of $50 and per unit variable expenses of $38, for the sales of their single product.

	Total	Per Unit
Sales	$360,000	$50
Variable expenses	198,000	38
Contribution margin	162,000	$12
Fixed expenses	112,000
Net operating income	$50,000

What is the amount of contribution margin if sales volume increases by 40%?

$162,000$70,000$226,800$30,000

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1 Q7

Last year Easton Corporation reported sales of $790,000, a contribution margin ratio of 20% and a net loss of $31,000. Based on this information, the break-even point was:

$635,000$1,100,000$821,000$945,000

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1 Q8

Dybala Corporation's produces and sells a single product. Data concerning that product appear below:

	Per Unit	Percent of Sales
Selling price	$150	100%
Variable expenses	60	40%
Contribution margin	$ 90	60%

The company is currently selling 6,100 units per month. Fixed expenses are $493,100 per month. The marketing manager believes that a $6,900 increase in the monthly advertising budget would result in a 110 unit increase in monthly sales. What should be the overall effect on the company's monthly net operating income of this change?

Decrease of $6,900 Increase of $9,900 Increase of $3,000 Decrease of $3,000

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1 Q15

Hitchens Inc. produces and sells two products. Data concerning those products for the most recent month appear below:

	Product V06Z	Product U85C
Sales	$37,000	$42,000
Variable expenses	$12,500	$28,580

The fixed expenses of the entire company were $39,090. The break-even point for the entire company is closest to:(Round your intermediate calculations to 2 decimal places and final answer to the nearest dollar amount.)

$46,210 $81,438 $39,090 $80,170

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1 Q18

Gonyo Inc., which produces and sells a single product, has provided the following contribution format income statement for December appears below:

Sales (5,000 units)	$	320,000
Variable expenses		175,000
Contribution margin		145,000
Fixed expenses		106,300
Net operating income	$	38,700

Required:

Redo the company's contribution format income statement assuming that the company sells 5,200 units.

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1 Q19

Data concerning Ulwelling Corporation's single product appear below:

	Per Unit	Percent of Sales
Selling price	$	150	100%
Variable expenses		30	20%
Contribution margin	$	120	80%

Fixed expenses are $1,053,000 per month. The company is currently selling 9,900 units per month.

The marketing manager would like to introduce sales commissions as an incentive for the sales staff. The marketing manager has proposed a commission of $9 per unit. In exchange, the sales staff would accept an overall decrease in their salaries of $101,000 per month. The marketing manager predicts that introducing this sales incentive would increase monthly sales by 490 units.

Required:

What should be the overall effect on the company's monthly net operating income of this change?(Negative amount should be indicated by a minus sign.)